Location: Grafton County, NH | Metro: Grafton County, NH
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,140 |
| 1 Bedroom | $1,150 |
| 2 Bedrooms | $1,500 |
| 3 Bedrooms | $2,030 |
| 4 Bedrooms | $2,070 |
| 5 Bedrooms | $2,401 |
| 6 Bedrooms | $2,689 |
| 7 Bedrooms | $2,904 |
| 8 Bedrooms | $3,049 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,500 | $311,666 | 0.48% | F |
| 3BR | $2,030 | $332,177 | 0.61% | D |
U.S. Census Bureau data (2024)
In ZIP code 03785, which encompasses Benton, NH, in Grafton County, the Section 8 program operates under specific economic guidelines. The SAFMR (Small Area Fair Market Rent) for a two-bedroom apartment in this ZIP code for fiscal year 2026 is set at $1,660. This figure represents the maximum amount that the housing authority will reimburse landlords for rent. However, it's important to note that the local market rent, based on Census ACS data, is considerably lower at $1,105.
A landlord participating in the Section 8 program should understand that the reimbursement comes from both the tenant's contribution and the government voucher payment. For a two-bedroom unit, the tenant is generally expected to pay 30% of their adjusted income towards rent. If we assume an average adjusted income of $1,500 (for illustration purposes), the tenant would contribute approximately $450 towards rent.
The remainder of the rent is covered by the Section 8 voucher. In the case of a $1,660 SAFMR, the government would cover the difference between the tenant's contribution and the SAFMR. Thus, the government would pay $1,210 per month to the landlord. This calculation assumes that the SAFMR is fully utilized and that the landlord's rent does not exceed the limit.
Additionally, landlords must account for utility allowances. The utility allowance is typically a fixed amount based on the size of the unit and the region. For ZIP 03785, the utility allowance for a two-bedroom unit is around $300. This allowance can be used to offset the cost of utilities for the tenant, but it does not directly increase the landlord's monthly income.
To summarize, if a landlord rents out a two-bedroom unit at the SAFMR of $1,660, they would receive $1,210 from the government voucher and $450 from the tenant, totaling $1,660. However, since the local market rent is only $1,105, landlords might face a surplus of $555 per month if they choose to rent at the SAFMR rate. Conversely, if they rent below the SAFMR, they will receive less from the government voucher, but the total rent will still be higher than the local market rate.
This economic structure can benefit landlords by providing a guaranteed income above the local market rate, but it also requires compliance with housing quality standards and regular inspections. The surplus or gap between the SAFMR and the local market rent highlights the financial dynamics landlords should consider when deciding whether to participate in the Section 8 program.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.